029-11 - Key Bank - Contract Amendment Renewal 2006City of Pori Orchard
216 Prospect Street
Port Orchard, WA 98366
200610310083
page: 1 of 2
10/31/2006 11:258
PORT ORCHARD CITY OF LEASE $33.00 KitsaR Co, WA
RENEWAL OF REAL PROPERTY LEASE
Grantor(Lessor): City of Port Orchard, Washington
Grantee (Lessee): KeyBank National Association
Legal Description: SW'/a , SW'/a , Section 25, Township 24N, Range 1 E.
Complete legal description set forth below
Tax Parcel No.: Public Right -of -Way, no tax parcel assigned
Reference Recording No:
This renewal of lease is made and executed on the 25'" day of September 2006, by and
between the City of Port Orchard, a Washington municipal corporation ("Lessor") and KeyBank
National Association, a national banking association ("Lessee").
WHEREAS, Lessor and Lessee entered into a Lease dated September 28, 2001 for the
property described as follows:
Section 25, Township 24 N, Range 1 E. W.M., Point of beginning;
Intersection of the easterly boundary of the Maple Street
Waterway and the northerly boundary of SR166 right-of-way
(formerly known as SR160), thence northwesterly a distance of
165 ft. along the easterly boundary of the Maple Street Waterway,
thence perpendicular and westerly a distance of 50 ft., thence
southeasterly a distance of 165 ft. along a line parallel to the
easterly boundary of the Maple Street Waterway, the northerly
right-of-way line of SR166 (formerly known as SR160), thence
easterly along the northerly right-of-way line of SR166 (formerly
known as SR160) to the point of beginning.
WHEREAS, On May 16, 2006, Lessor received written notice from Lessee, pursuant to
Paragraph 3 of the Lease, of Lessee's intent to renew the Lease.
WHEREAS, Lessee is not in default under the Lease.
NOW, THEREFORE, the parties agree as follows:
1. The Lease is hereby renewed for a five (5) year period commencing October 1, 2006
and ending on September 30, 2011.
Page 2 of 2
2. All of the terms and conditions of the Lease except as herein modified shall remain in full
force and effect and are made a part of this Renewal.
LESSEE:
CITY OF PORT ORCHARD
0
Kim E. Abel, Mayor
Attest:
mtk"
City Clerk
LESSEE:
KeyBank National Association
By:
ARK-O. PASS
VIGIE PRESIDENT
200610310083
page: 2 0£ 2
10/31/2006 11:25A
PORT ORCHARD CITY OF LEASE $33.00 Kitsap Co, WA
City of Port Orchard
216 Prospect Street-
Port Orchard, WA 98366
PORT ORC14ARD CITY OF 200702260002
Luse Fec Fee: 1 87 00
0212012007 08.25 AM Page. 1 of e
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Grantor (Lessor): City of Port Orchard, Washington
Grantee (Lessee): KeyBank National Association
Legal Description: SW '/a, SW '/4, Section 25, Township 24 N, Range 1 East. Complete legal
description set forth below.
Tax Parcel No.: Public Right -of -Way, no tax parcel assigned.
LEASE
This Lease is made and entered into this day by and between City of Port Orchard, a
Washington municipal corporation, hereinafter called "Lessor," and KeyBank National Association,
a national banking association, hereinafter called "Lessee":
WITNESSETH:
1. Premises and Terra. In consideration of the covenants and agreements
hereinafter set forth and other good and valuable consideration, Lessor hereby leases unto Lessee
the following described property situated in Kitsap County, Washington (the "Premises"):
Section 25, Township 24 N, Range 1 E., W.M., Point of beginning; Intersection of
the easterly boundary of the Maple Street Waterway and the northerly boundary
of SR166 right-of-way (formerly known as SR160), thence northwesterly a
distance of 165 ft. along the easterly boundary of the Maple Street Waterway,
thence perpendicular and westerly a distance of 50 ft., thence southeasterly a
distance of 165 ft. along a line parallel to the easterly boundary of the Maple
Street Waterway, to the northerly right-of-way line of SR166 (formerly known as
SR160), thence easterly along the northerly right-of-way line of SR166 (formerly
known as SR160) :to the point of beginning.
The term of this lease shall be for five (5) years commencing on October 1, 2001, and
ending on September 30, 2006.
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2. Rent. Lessee agrees to pay to Lessor the sum of Two Hundred Fifty and 001100
Dollars ($250.00) per month plus leasehold tax for the monthly rental, due and payable to the
City of Port Orchard, located at 216 Prospect, Port Orchard, WA, on or before the first day of
each month during the term of the lease beginning October 1, 2001. The parties agree that the
rent amount represents the true and fair market value of the leased Premises. In the event
payment of the monthly rental is more than ten (10) days late, there shall be added to the rent
the amount equal to 10% of the rental payment then due for each such delinquent payment.
3. Option to Renew: So long as Lessee is not in default hereunder, Lessee shall
have the option to renew this lease for an additional five (5) year period upon the same terms
and conditions as set forth herein, except as to rent, upon written notice by Lessee to Lessor of
such election at least 90 days prior to the expiration of the original lease term. The annual
rental rate to be charged and paid during the renewed lease term shall be renegotiated by the
parties prior to the expiration of the original lease term. In the event the parties are not
successful in arriving at a mutually agreeable rate by that time, the issue shall be submitted to
arbitration for resolution, in the manner provided for arbitrations as set forth below. Provided
further, however, in no event shall the rental rate be less than the rental amount charged in the
original lease.
4. Taxes. In addition to the rental amount, the Lessee will be responsible to pay
before delinquency any real estate taxes and assessments or any leasehold taxes, if any,
related to the Premises. lessee shall have the right to contest any such taxes. Lessor shall
reasonably cooperate with Lessee in connection with any such contest.
5. Reservation of Lessor's Rights. Lessor reserves the right to modify the Lease
at any time to remove from the Lease a portion of the Premises adjacent to Blackjack Creek, if
such portion is required for park purposes, subject to the conditions described in this Section 5.
That portion of the Premises that may be removed is depicted on Exhibit A attached hereto.
Such modification shall be effective upon 90 days written notice to Lessee, and shall not
interfere with Lessee's right to vehicular and pedestrian ingress and egress from Lessee's
owned property located adjacent to the Premises. Such modification shall change the
description of the Premises only, all other provisions of the Lease shall remain in full force and
effect.
6. Maintenance and_ReppL. Lessee, at Lessee's sole expense, shall keep in good
condition and repair all portions of the Premises. Lessee agrees to keep the Premises neat and
clean and in a sanitary condition; and upon surrendering possession, to leave the Premises in
condition equal to or better than as of the effective date of this Lease subject to ordinary wear and
tear and damage caused solely by Lessor and Lessor's employees. The Lessee will not make any
alterations, additions, or improvements without the prior written consent of the Lessor.
7. Indemnification and Liability. Lessee agrees to save harmless and indemnify
Lessor against and from all demands, claims, causes of action, or judgments, and all reasonable
expenses incurred in investigating or resisting the same for injury to person, loss of life, or damage
to property occurring on the Premises and arising out of Lessee's use and occupancy (unless due
solely to Lessor's negligence or willful misconduct); and Lessee agrees to carry liability insurance
to protect Lessor with insurance limits to be reasonably approved by Lessor.
8. Holding Over. If Lessee remains in possession of the Premises after the expiration
of this Lease, such possession shall, if rent is accepted by Lessor, create a month -to -month
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200702260002
PART ORCHARD CITY OF Page 2 of 6
Lease Rec Fee, $ 67 00
0212612007 08.25 Ail
Karen jlynnKitsap CoAuditor
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tenancy on the terms herein specified, and said tenancy may be terminated at any time by either
party by thirty (30) days' notice to the other party of such termination.
9. Assignment and Sublettin-g. Lessee shall not assign this Lease nor sublet the
Premises without Lessor's written consent, which written consent shall not be unreasonably
withheld. Notwithstanding anything contained in this Lease to the contrary, Lessee shall have the
right to assign this Lease or sublet all or any part of the Premises without the consent of Lessor to
(1) any entity resulting from a merger or consolidation with Lessee or any organization purchasing
substantially all of Lessee's assets, (2) any entity succeeding to substantially all the business and
assets of Lessee, (3) any subsidiary, affiliate or parent of Lessee, (4) any entity controlling,
controlled by or under common control with Lessee, or (5) any entity resulting from the
reorganization of Lessee outside of a bankruptcy organization. In such event, Lessee shall notify
Lessor of such transfer within fifteen (15) days after such transfer.
10. Insolvency. In the event the Lessee is adjudicated bankrupt or insolvent, or a
Receiver or Trustee is appointed for the Lessee, either voluntarily or involuntarily, or if the Lessee
makes an assignment for the benefit of creditors, this Lease shall immediately terminate without
further action on the part of Lessor or Lessee.
11. Waivers. One or more waivers of any covenants or conditions by Lessor shall not
be construed as a waiver of a subsequent breach of the same covenant or condition or agreement.
12. Use of Premises. Lessee will use and occupy the Premises throughout the entire
terra hereof for purpose of vehicular and pedestrian ingress, egress, and parking and no other
purpose. Lessee agrees not to violate any law, ordinance, rule, or regulations of any govemmental
authority having jurisdiction of the Premises. Lessee shall not obstruct ingress or egress on the
Premises without the prior written consent of Lessor.
13. Condition of Premises: The Premises are recognized by the Lessor and the
Lessee to be in "as is" condition, with no warranties of any type or nature whatsoever by the
Lessor to the Lessee. The Lessor will not incur liability or injuries or property damage suffered
because of defects in the Premises at the time of renting or occurring thereafter except as may
be caused by breach of warranties expressly set forth herein or Lessor's negligence or failure to
perform the terms and conditions of this lease. The Lessee hereby acknowledges that it has
had ample opportunity to inspect the Premises.
14, Default. It is agreed that if Lessee shall abandon the Premises before the end of
the term, or if any rent shall be due and unpaid and such failure continues for ten days after
Lessee's receipt of notice describing Lessee's failure to pay such rent when due, or if default is
made of any of the covenants and agreements to be performed by Lessee as set forth herein and
such failure continues for thirty days after Lessee's receipt of notice describing Lessee's failure,
then the Lessor may, at its option, enter upon the Premises and re -let the same for such rent and
upon such terms as Lessor may see fit; and if the full rental herein shall not be realized by Lessor
over and above any expense to Lessor in such re -letting, Lessee will pay all deficiency promptly
upon demand, or the Lessor may declare this Lease terminated and forfeited and take possession
of the Premises, and Lessee agrees to pay a reasonable attorney fee and the costs of any Court
action should it be necessary to enforce any of Lessor's remedies in this paragraph contained if
Lessor is the prevailing party. Lessor agrees to pay a reasonable attorney fee and the costs of any
Court action if Lessee should be the prevailing party.
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PORT ORCHARD CITY OF 200702260002
Lease Rec Fee: $ 8I.00
02126f2007 08:25 AM Page 3 of 6
n Karen Flyn. Kitsap Co Auditor
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15. Attorneys trees and Court Costs: In the event that any suit, action, or
proceeding, including arbitration as hereinafter set forth, shall be instituted to enforce
compliance with any of the terms or conditions of this lease, there shall be paid to the
substantially prevailing party in such suit, action or proceeding such sums as the court or
arbitrator may adjudge and determine to be a reasonable attorney's fee and reasonable costs,
with the foregoing applicable to proceedings both in the trial and appellate court levels.
16. Arbitration: In the event that there is a dispute arising out of any of the terms or
conditions or the amount of rent payable as provided in this lease, said dispute shall be referred
to arbitration. The Lessor shall appoint an arbitrator and the Lessee shall appoint an arbitrator.
The two arbitrators shall then select a third independent arbitrator. The costs of the third
arbitrator shall be divided equally between the Lessor and the Lessee. The three arbitrators
shall then resolve the dispute between the Lessor and the Lessee by a majority thereof and the
decision shall be reduced to writing. Said arbitration award may then be reduced to judgment
by entry in the Kitsap County Superior Court.
IN WITNESS WHEREOF, the parties hereto have signed and sealed this lease the day
and year first above written.
LESSOR:
CITY OF P RT ORCHARD
B ,
LESLIE J. WEATHERILL, Mayor
ATTEST:
Patricia Parks, City Clerk
LESSEE:
KEYBANKNATIONAL ASSOCIATION
By:
DENIS€ OBLOCKI
ASSISTANT VICE PRESIDENT
PORT ORCHARD CITY OF
Lease Rec Fee: $ 87 00 200702260002
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STATE OF WASHINGTON )
) ss.
COUNTY OF KITSAP )
I certify that I know or have satisfactory evidence that Leslie J. Weatherill and Patricia
Parks are the persons who appeared before me, and said persons acknowledged that they
signed this instrument, on oath, stated that they were authorized to execute the instrument and
acknowledged it as the Mayor and City Clerk of the City of Port Orchard, respectively to be the
free and voluntary act of such party for the uses and purposes mentioned in the instrument.
DATED: 1 O —S --01
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Notary Public in and for t e St o
Washington residing at 4
My commission expires 9. II-jIm/
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STATE OF N
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COUNTY OF K4T6AP )
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I certify tha� I kn�Sw or have satisfactory evidence that t _\ of I_ Oh�a,�� is the
person who appeared before me, and said person acknowledged that he/she signed this
instrument, on oath, stated thatbe/she was authorized to execute the instrument and
acknowledged it as the of KeyBank National Association to be the free and
voluntary act of such party for the uses and purposes mentioned in the instrument.
DATED:zG�
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ary Public in for t, 0 St 71r�•� �� �
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